Economic Development In Bangladesh Essay

Bangladesh: Report on Economic Development from 1980-2014

Country Profile

Bangladesh is located in South Asia and shares borders with India to the north, east and west. Burma lies to the southeast of Bangladesh. It occupies a fertile delta that was created by two of Asia’s largest river systems, Ganges and Brahmaputra.

Bangladesh is one of the most populated and poorest countries in the world. According to the World Population Review, Bangladesh is ranked 8th most populated country with 152,518,015 millions people (2012). In 2012, the per capita income of the country stood at US$2640, while the world average is $13,720 (World Bank, 2012). Bangladesh has undertaken an ambitious program of economic reforms with its newfound political stability. It has also opened its doors to foreign investment. Bangladesh is an attractive base for setting up manufacturing and assembling facilities because it has a large workforce, low wages and costs.

The current government has initiated several measures to stimulate economic growth. New businesses are being encouraged and there are generous tax incentives for exporters. The government also has eased the restrictions on foreign exchange. As foreigners are now allowed to own ventures wholly and are permitted to invest in the stock market, overseas businesses are being wooed. The key priority of the program is the mobilization of domestic resources. Since 1991, economic growth has improved steadily. The results have been satisfactory. Inflation has been considerably reduced and the external current account balance has also improved. According to the Country Brief released by the World Bank in July 2005, Bangladesh has improved considerably in terms of reduction in population growth, human developm...

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...a and Benin have a remarkable loan repayments at level of 97%, almost 20% higher than agricultural credit repayments in some industrialized countries. Microfinance has shown its capabilities as a powerful tool in combating poverty.

Conclusion

In respect of the three pillars of sustainable development (economic, social and environment), Bangladesh has achieved a remarkable success in all three of them but much more needs to be done in relation to building a pathway for sustainable and facilitated development for the country. Bangladesh needs to gear up its own act for this to be accomplished, which the government are committed doing. Given its resources and capability limitations, Bangladesh needs international support in terms of transfer of appropriate technologies and funds, and free access of it exports to developed economies in order to accomplish the goal.